A tourist whose bag and belongings were stolen while he was swimming at a beach overseas will not be covered for his losses after losing a claims dispute.

The complainant lodged a claim under his travel insurance policy after two thieves stole his bag containing cash, electronic items, clothes and a bottle of tequila and ran away while he was in the water.

Zurich Australia declined the man’s claim, saying the policy excluded cover for items left unattended in a public place.

The claimant initially said he had been less than 50 metres away from the bag at the time of the theft before changing his story to say he was no more than a metre away.

The Australian Financial Complaints Authority (AFCA) was not convinced by the traveller’s changed story, saying there had been consistent messaging in police reports and submissions to show that the man was some distance away from the bag.

AFCA said the insurer was entitled to deny the claim by the terms of the policy that defined unattended items as “not on your person or within your sight and reach”.

“The bag was not on the complainant’s person. It was left on a beach, which is a public place,” AFCA said.

“While the bag may have been within his sight, it was clearly not within his reach.”

Click here for the ruling.